Arbitration Act, 1940

Umri Pooph Pratappur (UPP) Tollways Pvt. Ltd. entered into a 2012 concession agreement with Madhya Pradesh Road Development Corporation (MPRDC) for a state highway project. Disputes over cost overruns and delays led the appellant to first file a reference before the Madhya Pradesh Arbitration Tribunal under the 1983 Ac…

The claimants filed a claim under the Motor Vehicles Act after the husband/father suffered a road accident, and the Motor Vehicle Accidental Claim Tribunal ordered the National Insurance Company to pay Rs.2,47,500. The insurer appealed to the Patna High Court, challenging its liability to pay, and the claimants filed a…

The appellant, an unregistered partnership firm, entered into a construction contract with the respondent and later contested the respondent's claim in arbitration. The respondent argued that Section 69(3) of the Partnership Act, 1932 barred the firm from participating in arbitral proceedings because "other proceedings…

The appellant, Minerals & Metals Trading Corporation of India Ltd., entered into a charter party with Ocean Knight Maritime Co. Ltd., which contained an arbitration clause. Disputes over demurrage led each party to appoint its own arbitrator, but the arbitrators could not reach a consensus and the award deadline expire…

The State of Haryana awarded a construction contract to S.L. Arora & Co., which was completed late, leading to arbitration. The arbitrator awarded Rs 14.94 lakh with 12% simple interest from 19‑Dec‑1990 to the award date and future interest of 18% per annum on the "total amount of award" if not paid within 30 days. The…

The appellant, Sumitomo Heavy Industries, entered into a turn‑key offshore platform contract with the respondent, ONGC, which contained a clause (17.3) obligating the respondent to compensate the contractor for any necessary and reasonable extra cost caused by a change in Indian law after the bid closing date. After th…

The State invited tenders for irrigation works and the appellant, having quoted the lowest rates, entered into three contracts. He later raised nine claims, of which the arbitrator awarded several and rejected others. The State sought to set aside the award under sections 30 and 33 of the Arbitration Act, 1940, and the…

The appellant‑plaintiff, K. Arumuga Velaiyah, claimed a one‑fourth share in ancestral joint family property based on a 1994 will of his grandfather, Periyaiya Servai, and sought partition and separate possession. The lower courts dismissed the suit, holding that a partition had already been effected in 1964 by a pancha…

The appellant, Vishnu Bhagwan Agrawal, insured jute stock with National Insurance Co. and later purchased additional jute, seeking an increase in the sum insured. The insurer did not formally acknowledge the increase, leading to a dispute over whether the policy was effectively amended and whether the value of the jute…

The appellant, a contractor, was awarded a bridge construction contract by the Government of Karnataka. Disputes arose and the contract’s Clause 29 required any dispute to be first referred to the Chief Engineer or a Designated Officer, whose decision was subject to court remedy. The contractor applied under Sections 1…

The parties entered into a contract for works on the Tehri Hydro Dam project. After completion, the final bill and a security deposit of Rs.12.50 lakhs remained unpaid, leading to arbitration under the contract’s arbitration clause. The first arbitration awarded Rs.10.17 lakhs for the final bill but held the security‑d…

Mahanagar Telephone Nigam Ltd. appealed a Delhi High Court order that had held the Code of Civil Procedure (CPC) applicable to an appeal under Section 37 of the Arbitration and Conciliation Act, 1996 and had entertained a cross‑objection under Order XLII Rule 22 CPC. The Supreme Court examined whether the 1996 Act is a…

The appellant partnership firm owned 249.60 bighas of land that was slated for acquisition by the State of Rajasthan for the benefit of the respondent company. An agreement dated 01.02.1980 provided that about 145 bighas would be sold to the respondent, with the price to be fixed by arbitration. The sole arbitrator fix…

Delta Distilleries supplied Indian Made Foreign Liquor to United Spirits under a contract that made the buyer responsible for sales tax. A dispute arose over a set‑off/refund claimed by Delta from the Sales Tax Department, which United Spirits argued reduced its tax burden. The arbitral tribunal allowed United Spirits …

Pam Developments Private Ltd entered into a work contract with the State of West Bengal for road widening, which was completed after a five‑month delay. The contractor claimed several sums, including labour charges for uneconomical stoppage, interest on delayed payment of running‑account bills, and pre‑reference intere…

The appellant, Ladli Construction Co., entered into a contract to build 240 houses for the Punjab Police Housing Corporation, but failed to meet the schedule and the contract was rescinded. The parties' agreement contained an arbitration clause (Clause 25A) naming the Corporation's Chief Engineer as arbitrator. The con…

The Supreme Court, hearing Civil Appeal No. 1093 of 2006, examined whether it could entertain an application under Section 34 of the Arbitration and Conciliation Act, 1996 to make an arbitral award a rule of the Court when the Court itself had retained seisin over the arbitration proceedings. The award, rendered by a r…

The appellant, a construction contractor, entered into a contract with the Government of Maharashtra for earth work on a canal, which was not completed within the stipulated 18 months and required several extensions. After disputes over payment arose, the contractor sought appointment of an arbitrator under the contrac…

The petitioners, Sesh Nath Singh and others, challenged the National Company Law Tribunal's (NCLT) order admitting a Section 7 application by Baidyabati Sheoraphuli Co‑operative Bank to initiate corporate insolvency resolution against the corporate debtor. The issue was whether the three‑year limitation period for fili…

The dispute arose from an arbitral award dated 20 July 1984 under the Arbitration Act, 1940, which was made a rule of the court and later reduced in interest rate. The appellant sought execution of the award, and the State (respondent) deposited Rs 75,65,945, after which the executing court ordered the State to deposit…

An arbitral award dated 20 July 1984, made a rule of the court in 1986, was being executed when the State of Uttar Pradesh deposited Rs 75,65,945 and was later directed by the executing court to deposit an additional Rs 1,25,16,969.56, which the State objected to. The State filed a civil revision, and the High Court, i…

The Union of India and another appealed against a High Court order that held its objections to an arbitral award were time‑barred. The award was filed on 17‑06‑1996 and a notice of filing was served on the Union of India, but not on the Executive Engineer, who was responsible for the Union’s affairs in the arbitration.…

The appellant, M/s Laxmi Continental Construction Co., entered into a contract with the State of Uttar Pradesh that contained an arbitration clause (Clause 52) appointing a sole arbitrator who must be a Superintending Engineer or higher. The appointed arbitrator, Shri S.S. Manocha, retired during the arbitration procee…

Reliance Cellulose Products Ltd. and ONGC entered into a contract for supply of CMC. A dispute arose over the price, which was referred to arbitration. The arbitrator fixed a higher price and awarded pre‑reference, pendente‑lite and future interest at 18% per annum. The Civil Judge reduced the interest to 10% and the G…

Avitel Post Studioz Ltd and its promoters invested USD 60 million in HSBC based on alleged representations that Avitel would secure a lucrative BBC contract, which later proved to be fictitious. HSBC obtained interim awards and a foreign final award from a Singapore tribunal finding the appellants liable for fraudulent…

Deccan Paper Mills entered into a development agreement with Ashray, which was later assigned to Regency Mahavir Properties containing an arbitration clause. Deccan alleged fraud by a partner of Regency and filed a suit under the Specific Relief Act, seeking cancellation of the 2006 agreement and a deed of confirmation…

The appellants, brothers who co‑owned land, sued the respondents seeking a declaration that the arbitration awards and the subsequent court decrees granting title to the respondents were null and void because they were obtained through fraud and stamp‑duty evasion. The lower courts dismissed the suits on the ground tha…

The Union of India entered into a contract with PAM Development for constructing an industrial loco shed, which was later terminated for delay and inferior work. The contractor invoked an arbitration clause, and the Calcutta High Court appointed a former judge as sole arbitrator under Section 11(6) of the Arbitration a…

The appellant, a construction firm, entered into a contract with the Union of India for runway construction, which was terminated by the Union. The arbitrator awarded the appellant substantial sums for extension of time, wrongful termination, idle hire charges and value of machinery. A single judge upheld the award, bu…

The North Delhi Municipal Corporation (appellant) contracted with M/s S.A. Builders Ltd. (respondent) for construction work, which was not completed and led to a dispute. An arbitrator awarded Rs. 1,70,70,720.80 with simple interest and later issued a clarification on 15 March 2005 regarding post‑award interest, after …

The appeal arose from a dispute where the parties, after settling most issues in a suit, referred two remaining differences to arbitration before a retired Supreme Court judge. The arbitrator resigned, and the respondent sought a substitute arbitrator. The High Court appointed a retired judge as a substitute under Sect…

MIS Misra & Co. was awarded Rs.5,78,873 by an arbitrator in 1988 for a construction contract with Damodar Valley Corporation (DVC). The Civil Court made the award a decree on 16 March 1991, but DVC neither paid nor appealed, and due to repeated objections the formal decree was only prepared on 21 February 2003. Misra f…

The appellant and respondent No.1 formed an LLP governed by an agreement containing an arbitration clause (Clause 40). Disputes arose over the ITF project, and the appellant issued a Section 21 notice of arbitration only to respondent No.1 and filed a Section 11 application appointing an arbitrator, also only naming re…

The case concerned whether an arbitrator could award pendente lite interest when the underlying contract expressly barred interest on delayed payments. The dispute arose from a construction contract between the Union of India and M/s. Ambica Construction, which had undergone multiple arbitrations and court intervention…

The appellant, M/s Interstate Construction, executed work orders for a power project for the respondent, NPCC, and later disputed certain recoveries, leading to arbitration. The arbitral tribunal awarded the appellant principal sum plus interest, distinguishing pre‑reference, pendente‑lite and future interest periods. …

The Amravati District Central Co‑operative Bank held an insurance policy with United India Fire & General Insurance covering losses caused by its employees. An employee embezzled several amounts totalling Rs.3.44 lakh. The insurer assessed a reimbursable loss of Rs.29,000, but the bank claimed the full amount. An arbit…

The Board of Control for Cricket in India filed a Section 34 challenge to arbitral awards dated June 2015, and the award creditors sought execution. The award debtor argued that the pre‑amended Section 36 imposed an automatic stay on execution until the Section 34 petition was decided, while the High Court applied the …

The contractor, Chandigarh Construction Co., entered into a contract with the State of Punjab for construction of the Sutlej Yamuna Link Canal and later claimed additional payment for extra work. An arbitrator awarded the claims using a 93.12% premium and 18% interest, but did not give reasons as required by a contract…

The parties obtained an ICC arbitral award in London ordering RioGlass Solar to pay Shriram EPC Ltd €4.36 million. Shriram filed a petition under Section 47 of the Arbitration and Conciliation Act, 1996 to enforce the foreign award in India, while RioGlass contended that the award was unenforceable because it had not b…

Northern Coalfield Ltd., a government-owned corporation, entered into two contracts with Heavy Engineering Corp. Ltd. which contained an arbitration clause. Disputes were referred to the Government's "permanent machinery of arbitration" and awards were made, which Northern Coalfield challenged before the Law Secretary …

The dispute between Oswal Woolen Mills Ltd. and Oswal Agro Mills Ltd. arose from a breach of an agency agreement and was referred to arbitration under the Arbitration Act, 1940. Two arbitrators could not agree on an award, so the matter was referred to an umpire who awarded damages to the respondent. The appellant late…

Rohan Builders sought an extension of time under Section 29A of the Arbitration and Conciliation Act, 1996 after the statutory twelve‑month period (or the six‑month consent‑based extension) for making an arbitral award had expired. The Calcutta High Court had held that such an application was not maintainable, a view e…

The Union of India challenged an arbitral award that granted interest on amounts payable to M/s. Krafters Engineering & Leasing (P) Ltd. under a works contract, arguing that Clause 1.15 of the General Conditions expressly prohibited any interest on such amounts. The High Court had upheld the award, but the Supreme Cour…

The brothers Balwant Singh and Dungar Singh disputed the partition of their father’s property and, by mutual consent, appointed three close relatives as arbitrators under an agreement dated 23‑11‑1981. The arbitrators passed a detailed award allocating houses, land, jewellery and cash, which was later registered. Dunga…

The appellant contractor filed a petition under Section 8 of the Arbitration Act, 1940 seeking appointment of an arbitrator for claims exceeding Rs.50,000, which the State of Andhra Pradesh opposed on the ground of Government Order (GOM) No. 430, 24‑10‑1983, as clarified by GOM No. 160, 01‑06‑1987, that such claims mus…

The plaintiff filed a suit for settlement of accounts against the defendant and applied for a Chartered Accountant to be appointed as a panch/commissioner to audit the accounts. The trial court appointed the CA, who submitted a report indicating amounts due, and treated the appointment as an arbitration reference under…

Kamrup Industrial Gases Ltd entered into a contract with Diesel Locomotive Works (Union of India) to supply minimum quantities of oxygen and acetylene gas each month. When the buyer failed to lift the stipulated amounts, the seller was entitled to sell the surplus or, if unsold, to blow off the gas and recover the proc…

Chintels India Ltd. filed an application under section 34 of the Arbitration and Conciliation Act, 1996 to set aside an arbitral award, but the single judge of the Delhi High Court refused to condone the delay in filing the application and dismissed it. The appellant challenged that order by invoking section 37(1)(c) o…

The State of West Bengal filed a Section 34 application to set aside an arbitral award before the District Court of Jalpaiguri, while the High Court of Calcutta had earlier entertained interim relief under Section 9 and appointed an arbitrator under Section 11. The High Court held that, under Section 42 of the Arbitrat…

The Union of India and others entered into a contract with M/s Neelam Engineering for security lighting, which later gave rise to disputes resolved by an arbitrator who awarded Rs.1,70,020 in favour of the respondent. The respondent filed a petition under Sections 14(2), 17 and 29 of the Arbitration Act, 1940 to have t…

In a suit for partition of joint family property filed in 1991, the appellants sought a stay of proceedings under Section 34 of the Arbitration Act, 1940, which was dismissed in 1995 and affirmed on appeal. The suit continued, and the appellants later filed an application under Section 8 of the Arbitration and Concilia…

The dispute arose from a contract for earthwork where M/s Harish Chandra & Co. claimed payment for several items and the arbitrator awarded three of the six claims. The State of U.P. challenged the award under Section 30 of the Arbitration Act, 1940, alleging the arbitrator had committed legal misconduct by exceeding t…

The Supreme Court considered an appeal by DLF Ltd. and another Indian company against a Croatian generator firm concerning the enforcement of a foreign arbitral award expressed in euros. The key issues were the appropriate date for fixing the foreign exchange rate to convert the award into rupees and the treatment of a…

M/s Shahi and Associates entered into a construction contract with the Uttar Pradesh government and invoked arbitration in 1999. The arbitrator awarded Rs. 17,86,339 with interest at 18% per annum under Section 31(7)(b) of the Arbitration and Conciliation Act, 1996. The District Judge and the Allahabad High Court reduc…

The Supreme Court examined a batch of Special Leave Petitions arising from orders of the Delhi and Calcutta High Courts that refused to enforce foreign arbitral awards or to award interest. The central question was whether an order that is not appealable under section 50 of the Arbitration and Conciliation Act, 1996 co…

The State of Rajasthan terminated a construction contract and the contractor, M/s Nav Bharat Construction Co., sought arbitration of several claims. After an initial umpire award was set aside, a new umpire was appointed and his award was filed in the Supreme Court. The State applied to make the award a rule of court w…

M/s Arif Azim Co. Ltd., an Afghan distributor, entered into a 2010 distributorship agreement with M/s Micromax Informatics FZE (UAE) that contained an arbitration clause designating Dubai as the venue and subjecting the arbitration to UAE Arbitration and Conciliation rules. After a credit dispute, the petitioner sought…

The petitioner, M/s D. Khosla & Co., obtained an arbitration award in 1997 that granted simple interest of 12% for the pre‑award period and 15% for the post‑award period, both described as payable on the "amount awarded" (the principal compensation of Rs.21,56,745). The petitioner later claimed that the 15% post‑award …

The dispute arose from a work contract for port services that was initially for one year and extendable for a second year, subject only to statutory wage increases for dock labourers as per Clause 2.03. The contractor claimed additional payment for wage escalations that occurred after the commencement of the extended p…

Jai Prakash Associates Ltd. (JAL) entered into a contract with Tehri Hydro Development Corporation Ltd. (THDC) that contained General Conditions of Contract (GCC) clauses 50 and 51 expressly prohibiting any interest on monies due. An arbitral tribunal under the Arbitration and Conciliation Act, 1996 awarded the appella…

The parties entered into a contract for the construction of a cargo ship, which later gave rise to arbitration before a former Supreme Court judge who awarded in 2009. The respondent sought to set aside the award under Sections 30 and 33 of the Arbitration Act, 1940, alleging the arbitrator’s legal misconduct, and appl…

The dispute arose from a contract between Bharat Aluminium Co. and Kaiser Aluminium Technical Service, Inc. that provided for arbitration in London under English law, but governed the contract by Indian law. After two awards were rendered in England, the appellant sought to set aside the awards under Section 34 of the …

The appellant, a partner in a hotel partnership, filed an application under Section 8 of the Arbitration and Conciliation Act, 1996 seeking to refer a civil suit filed by the other partners to arbitration. The respondents argued that serious allegations of fraud and mis‑appropriation of funds made the dispute non‑arbit…

The appellant, a contractor, entered into five irrigation contracts with the State of Maharashtra in 1983. After abandoning the work in 1985, he sought damages and later invoked Clause 30 of the contracts, claiming it was an arbitration clause that made the Superintending Engineer’s decision binding as an arbitral awar…

The dispute arose from an arbitration under Clause 70 of a contract, where the arbitrator issued an award without recording any reasons, merely noting "sustained", "partly sustained" or "not sustained" in the column titled "findings". The Delhi High Court set aside the award, holding that the term "findings" required a…

The parties entered into a manufacturing agreement that contained an arbitration clause specifying Delhi as the venue and jurisdiction. The respondent sued the appellant in the Munsif Court, Gaya, and the appellant sought a stay of the suit under section 34 of the Arbitration Act, 1940. Subsequent applications were fil…

The Supreme Court examined an arbitral award granting Buildworth Pvt. Ltd. price‑escalation, idling‑charges and interest against Assam State Electricity Board. The Board argued that the award exceeded the contractual ceiling for escalation, ignored the claimant’s contributory delay, and that interest could not be award…

The State of Goa contracted Praveen Enterprises for construction work and included an arbitration clause that referred all disputes to a sole arbitrator appointed by the Chief Engineer, CPWD. After terminating the contract, the contractor filed claims and the State filed counter‑claims; the State failed to appoint an a…

The Kerala government enacted the Kerala Revocation of Arbitration Clauses and Reopening of Awards Act, 1998 to cancel arbitration clauses in agreements for the Kallada Irrigation Project, revoke arbitrators' authority and permit appeals against awards that had become "Rule of Court". The High Court of Kerala held the …

The respondent sought appointment of an arbitrator under Section 20 of the Arbitration Act, 1940, invoking Clause 11 of a partnership deed of "Gupta Bus Service" dated 5 July 1960. The appellants objected, arguing that the partnership was unregistered and therefore barred by Section 69(3) of the Partnership Act, 1932, …

The appellant, a power distribution company, entered into a Power Purchase Agreement (PPA) with the respondent, a power generator, and disputed accounting details and rebate claims arising from monthly invoices. The dispute was taken before the Tamil Nadu Electricity Regulatory Commission (State Commission) which adjud…

The dispute arose from two construction contracts awarded by NTPC Ltd. to M/s Deconar Services, wherein a 16% rebate was offered on the condition of simultaneous execution of both projects. The arbitrator held that the rebate was conditional and that NTPC's delay in handing over sites breached that condition, ordering …

The State of Punjab appealed against the High Court’s decision that the Commissioner of Excise and Taxation could not extend the three‑year limitation period for passing a sales‑tax assessment after that period had expired. The assessee, M/s Shreyans Indus Ltd., had filed returns for assessment years 2000‑01 to 2003‑04…

The appellant, M/s Geo Miller & Co., sought appointment of an arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996 for three water‑treatment contracts dated 1979‑1985, alleging non‑payment by the respondent. The respondent contended that the cause of action arose when the final bills were presen…

Hyundai Corporation entered into a contract with Oil and Natural Gas Corporation (ONGC) for offshore oil exploration, which contained Clause 13.2.8 (sub‑contractor liability) and Clause 17.3 (indemnity for costs arising from a change of law). A change in Indian tax law – Section 44BB/4488 of the Income Tax Act, 1961 – …

M/s Raveechee & Co. entered into a quarrying contract with the Union of India, which later gave rise to a dispute that was referred to arbitration on 26 September 1988. The Arbitral Tribunal awarded damages and, on the basis of being deprived of those sums during the pendency of the arbitration, granted interest penden…

The appellant, C. Velusamy, and the respondent, K Indhera, entered into three sale agreements that later gave rise to arbitration. A sole arbitrator was appointed, and pleadings were completed on 20‑08‑2022, starting the 12‑month period for award under s.29A(1) of the Arbitration and Conciliation Act, 1996. The parties…

The appellant and respondents entered into a partnership agreement in 2005 that contained an arbitration clause referring to the Indian Arbitration Act, 1940. The respondents filed a suit seeking injunction, and the appellant moved an application under Section 8 of the Arbitration and Conciliation Act, 1996 (1996 Act) …

The appellant, representing the estate of her deceased husband, obtained an arbitral award on 31 May 2022 directing the respondents to pay a sum with interest. The award could not be released because the respondents had not paid the arbitrator's fees, leading the District Judge to order payment of the balance fees on 2…

The case involved four brothers who owned a family business and entered into an arbitration agreement in 1984 to partition the business. An arbitrator issued an award in 1987, but subsequent litigation in the Bombay, Rajasthan and Delhi High Courts resulted in family settlement schemes in 1994 and an amended settlement…

Durga Charan Rautray, a contractor, completed a dam construction project for the State of Orissa but later claimed additional payments for price escalation, material supply, royalty refund and interest. The parties' contract contained an arbitration clause (clause 23) and the disputes were referred to an arbitral tribu…

M/s Ferro Concrete Construction (India) Pvt. Ltd. entered into a works contract with the State of Rajasthan that contained Clause 22 prohibiting the contractor from claiming any interest on payments, arrears or balances. Disputes led to arbitration under the Arbitration Act, 1940, where the arbitrator awarded the contr…